9 Steps on Developing a Business Action Plan

Every brilliant idea needs a strategic plan. If you want to be a successful entrepreneur, you will need a road map that would connect you from one point to another. Whether you are a newbie or a seasoned entrepreneur, you should understand the importance of having a solid and effective action plan to realize all your business goals.

Action Plan and Its Significance

We all know that startup companies have a higher failure rate. This may be due to lack of effective strategic planning. That is why as an entrepreneur, you will need to sit down and discuss important things with the people involved in the business and how you can improve your strategic action plan.

According to an article published on Wikipedia, “An action plan is a detailed plan outlining actions needed to reach one or more goals”. Oftentimes, a small or startup business fails because of the lack of knowledge on how to strategically implement their action plan. While starting a new business can be an exciting moment in an entrepreneur’s life, there are some moments in which you doubt not only yourself but also your decisions. That is why no matter how hard things may get for you, having a solid action plan is a great way to move past any self-doubt that can potentially stall the growth and success of your company. Here are five great reasons why you will need an action plan for achieving your business goals.

It provides you a clear overview of your ideas and thoughts.

It allows you to organize and structurize your ideas.

It helps you determine steps necessary to accomplish your business goals.

It is used as an accountability system that helps you track down the people responsible for specific tasks, as well as check the development and progress of the project.

Using an action plan provides the organization members a clear picture of how they are going to take action in realizing their goals.

It helps you set your priorities, helps you focus on the right things, and avoid wasting time and money in the process of achieving your goals.

How to Create an Action Plan for Your Business

We have already discussed that an action plan is an essential part of strategic planning. That is why it is vital to familiarize yourself on how to write an action plan that will effectively ensure the success of your business. So to help you make the task of writing an action plan easier, we have listed down the steps for your reference:

Step 1: You must create a revenue plan.

When creating a revenue plan, it is important to determine the company’s revenue sources. This includes the number of products and/or services you are planning to sell and its corresponding prices. By doing so, you will have an idea on how you can achieve your financial goals.

Step 2: Learn how to close the gap between your goals.

When we say bridging your gaps, it means you should know how to close the distance from where your current state of business to where you see your business a couple of years. Bridging the map requires evaluating your personal and financial projection and goals.

Step 3: Get to know your target customers

Knowing the people whom you are selling your products and/or services is the bedrock of all businesses, small or large. Once you are already familiar with your target customer’s profile, it will be easier for you to convert prospects into paying customers.

Step 4: Make sure how to position your business in the market.

One of the most effective ways to attract customers and boost brand recognition is conveying your brand message to your target market. If you want to find a good position for your business in the market, a great way to do this is to determine the biggest issues of your target customers and provide them the reasons how your products and/or services can address and solve their problems.

Step 5: Set yourself apart from your competitors.

Make a list of the things that makes you unique and how your products and/or services can be beneficial to your target customers. You don’t need to write an obvious statement. You just have to make sure that it impacts your target market in a positive way.

Step 6: Make sure to take action

No matter how brilliant your business ideas are, without taking action, it will just remain brilliant, yet useless ideas. Creating an action plan allows you identify the essential steps to take.

Step 7: Determine your distribution channel or Point of Sale

In the business world, there are seven different distribution channels: internet, event, retail, direct sales, mail orders, agents and phone sales. While choosing the best distribution channel can be a bit confusing and overwhelming to a start-up business, it allows to you transact with your target customers with ease and confidence.

Step 8: Choose the strategies that are right for your business.

Choosing the right marketing strategies can bring your business closer to your point of sale. Among the popular marketing strategies to use are digital marketing, advertising, telemarketing, etc.

Step 9: Create a 90-day marketing and sales schedule

Giving enough time to evaluate your ideas allows you to plan and implement your strategies better. Once you have everything in place, it will be easier for you to follow or take necessary actions for the implementation of your plan.

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Final Thoughts

Without having a solid action plan on hand, you are more likely to fail during the first stage in building your business or implementing your project. That is why it is important to understand that an effective action plan supports strategic planning by incorporating essential details needed to accomplish your goals. Do not forget to check out our vast library of action plan templates and download them for your reference.